When does prudence begin to look like hesitance? After its election, the NDP government told Albertans it would be delaying its budget until October. The idea was the first non-PC government elected in 40 years needed time to ensure its fiscal plan was solid.
While fiscal prudence is something we want in our government, what Albertans and those investing in our province need now is certainty. As it stands, Alberta has been facing an uncertain future since the NDP rose to power. It is not unexpected, the defeat of a 40-year regime would have caused ripples of uncertainty regardless of the new ruling party.
The pressure of low oil prices, which has resulted in thousands of layoffs in the province, added to the NDP pushing forward with campaign promises to review royalties, increases to corporate taxes and the minimum wage, as well as the carbon tax which will further strain bottom lines and it seems Albertans might be starting to get nervous.
A recent poll conducted by Mainstreet/Postmedia suggests the NDP have slid sharply in the polls. That poll – which surveyed 3,007 people – shows a 12 per cent decrease in NDP support since May. Analysts are suggesting – although it is just one poll – that the honeymoon is over for Premier Rachel Notley and her orange wave.
The question is why? Nothing the NDP has done has been surprising. An increase in corporate taxes to 12 per cent from 10 per cent, the beginning of a phased increase of the minimum wage to $15 an hour and the axing of the PCs’ health-care premium were all campaign promises. Our new government also inherited the economic environment caused by the oil prices hitting what will have hopefully been rock bottom – though the jury is still out on that.
With that in mind, nothing has changed for the NDP since Albertans resoundingly gave them their support. Did Albertans not know what they were voting for? Were they so focused on defeating or reducing the PCs’ hold on provincial politics that the NDP scored a one-off victory? Or, are they growing impatient to see how the NDP’s promises might begin to translate into results?
The problem is the government’s hesitance to give us a budget. The PCs told us we would be billions of dollars in the hole by 2016. Will the NDP be able to reverse that prediction despite reversing spending cuts and some revenue gathering plans? We would like to know. If the answer is yes, some Albertan might be scratching their heads and asking, “How?”
What we need now is some reassurance and to see the proof in the numbers. We can all respect a desire to be fiscally responsible, but a government that looks hesitant while the province struggles with an uncertain future only compounds the problems.
